ACIT, Hyderabad V. M/s. Sentini Technologies Pvt. Ltd, Hyderabad

ITA 1410/HYD/2010

• Counselvise Citation: [2011] 134 COUNSELVISE.COM (IT) 9881 (ITAT-HYDERABAD)
• Duration Of Justice: 2 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-01-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2006-2007
• Appeal Filed On: 10-11-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: V SRINIVAS
• Assessee Lawyers: C N PRASAD

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH A', HYDERABAD BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI AKBER BASHA, ACCOUNTANT MEMBER I.T.A. NO. 1410/HYD/2010 (ASSESSMENT YEAR 2006-07) THE ACIT, CIRCLE 3(1) HYDERABAD VS. M/S. SENTINI TECHNOLOGIES PVT. LTD., HYDERABAD-34 PAN: AAFCS7501L APPELLANT RESPONDENT APPELLANT BY: SHRI V. SRINIVAS RESPONDENT BY: SHRI C.N. PRASAD O R D E R PER NRS GANESAN, JM: THIS APPEAL OF THE REVENUE IS DIRECTED AGAINST THE ORDER OF THE CIT(A)-IV, HYDERABAD DATED 31.8.2010 AND PER TAINS TO ASSESSMENT YEAR 2006-07. 2. THE ONLY ISSUE ARISES FOR CONSIDERATION IS EXCLU SION OF EXPENDITURE INCURRED IN FOREIGN CURRENCY OUTSIDE IN DIA FROM THE EXPORT TURNOVER. 3. WE HEARD SHRI V. SRINIVAS THE LEARNED DR AND SHR I C.N. PRASAD, THE LEARNED COUNSEL FOR THE ASSESSEE. THE ASSESSING OFFICER EXCLUDED THE EXPENDITURE INCURRED BY THE AS SESSEE OUTSIDE INDIA IN FOREIGN CURRENCY FROM TOTAL TURNOV ER. WHILE CONFIRMING THE VIEW OF THE ASSESSING OFFICER, THE C IT(A) FOUND THAT ONCE SUCH EXPENDITURE WAS EXCLUDED FROM THE EX PORT TURNOVER THE SAME SHALL ALSO BE EXCLUDED FROM THE T OTAL TURNOVER. THE CIT(A) PLACED HIS RELIANCE ON THE DECISION OF T HIS TRIBUNAL IN I.T.A. NO. 1410/HYD/2010 M/S. SENTINI TECHNOLOGIES PVT. LTD. =========================== 2 EX BAND (INDIA) PVT. LTD. VS. ITO IN I.T.A. NO. 110 2/HYD/2004. A SIMILAR VIEW WAS ALSO TAKEN BY THE SPECIAL BENCH OF THIS TRIBUNAL IN ITO VS. SAK SOFT LIMITED (313 ITR 353). BY FOLL OWING THE DECISION OF THE TRIBUNAL IN SAK SOFT LIMITED (SUPRA ), WE UPHOLD THE ORDER OF THE CIT(A). 4. IN THE RESULT, THE APPEAL OF THE REVENUE STANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 28TH JANUARY, 2011. SD/- (AKBER BASHA) ACCOUNTANT MEMBER SD/- (N.R.S. GANESAN) JUDICIAL MEMBER HYDERABAD, DATED 28TH JANUARY, 2011 TPRAO COPY FORWARDED TO: 1. THE ACIT, CIRCLE 3(1), 7TH FLOOR, B-BLOCK, IT TO WERS, HYDERABAD. 2. M/S. SENTINI TECHNOLOGIES PVT. LTD., PLOT NO. 12 29, ROAD NO. 60, JUBILEE HILLS, HYDERABAD-34. 4. THE CIT(A)-IV, HYDERABAD 5 THE CIT-III, HYDERABAD 6. THE DR A BENCH, ITAT, HYDERABAD